Following the conclusion of the Clone Wars, the Galactic Empire asserted its authority over, and took control of, the Outer Rim planet of Utapau.
Near the end of the Clone Wars, the Confederacy of Independent Systems utilized the Outer Rim planet of Utapau as a concealed headquarters, repressing the indigenous Utapauns—namely the Utai and Pau'ans—through military control. During that time, an underground Utapaun resistance movement formed, awaiting an opportunity to strike back. When Jedi General Obi-Wan Kenobi arrived on Utapau searching for General Grievous, he encouraged Port Administrator Tion Medon to activate the resistance. In the resulting Battle of Utapau, the resistance joined forces with the 7th Sky Corps to repel the Separatist forces.

However, as the war drew to a close, clone troopers of the Republic Military were turned against the Jedi Order by Supreme Chancellor Sheev Palpatine, who desired to transform the Republic into the Galactic Empire and thus initiated Order 66 while the Battle of Utapau was still ongoing. After attacking Kenobi and shortly after the planet was freed from the Confederacy, the clones betrayed the native Utapauns, marking one of the most tragic betrayals of the Clone Wars. Even with the Republic still legally in existence, the clones began their own occupation, shutting down the Utapaun resistance and arresting its members, including Medon. Following the final transformation of the Republic into the Empire under Palpatine's orders, the Empire claimed Utapau as its own territory and continued the occupation that the clones had begun.
The decision of whether or not Utapau would formally align with the Empire rested with its sentorial representative, Daho Sejan, who, believing the regime was invincible, signed the planet over to the Empire. After the Empire assumed control, a significant portion of the Pau'an population departed the planet and established settlements in other regions of the galaxy. The Empire established fortifications throughout Utapau, guarding the sinkholes that served as homes for many of the planet's inhabitants. Despite the widespread resentment towards Sejan for his role in surrendering the planet, he maintained that he had secured a future for them and ensured their survival.